ITV

Tag: DPOs

  • Times Network reduces Mirror Now MRP, launches new bouquet for English movie channels at Rs 10

    Times Network reduces Mirror Now MRP, launches new bouquet for English movie channels at Rs 10

    MUMBAI: Times Network has revised the MRP of Mirror Now and introduced a new bouquet of three channels Romedy Now, Movies Now and MNX at Rs 10.

    According to the new Reference Interconnect Offer (RIO), the broadcaster has reduced the MRP of news channel Mirror Now to Rs 0.5 from Rs 2.

    The new bouquet named "Bouquet 5" is the first English movie channel only bouquet with three channesl – Romedy Now, Movies Now and MNX at RS 10. The network now has five bouquets as offerings along with 12 channels. The other existing bouquets remain untouched with no change in rate or number of channels.

    Under the new tariff order regulations, the distributors of television channels are currently not obliged to sign the amended RIOs unless the existing signed RIO expires.

    The price change would only be visible across DPOs if and when they sign the new amended RIO once it kicks into effect. The newly amended RIO of the network will come in force from 14 September.

    Times Network had earlier in April amended its RIO to rename Times Now HD as Times Now World (HD) along with the addition of Times Now to its Bouquet 3 and Bouquet 4.

  • Broadcasters, DPOs misused new tariff order to throttle market discovery of channel prices: TRAI

    Broadcasters, DPOs misused new tariff order to throttle market discovery of channel prices: TRAI

    MUMBAI: Telecom Regulatory Authority of India (TRAI) on Friday issued a consultation paper on tariff related issues for Broadcasting and Cable services.

    The paper primarily discusses issues related to discounts given in the formation of the bouquets, ceiling price of channels for inclusion in bouquet, need for formation of bouquet by broadcasters and DPOs, variable NCF and discounts on long term plan.

    TRAI believes that the new regulatory framework has brought the transparency in TV channel pricing, harmonised business processes in the sector and reduced disputes among stakeholders. However, adequate choice to select TV channels has not been given to the consumers.

    “In all fairness, a lot was expected from broadcasters and DPOs to use flexibility given under new regulatory framework to address the concerns and aspirations of the consumers. However, given flexibility was misused to throttle market discovery of TV channel prices by giving huge discounts on the bouquets. It has been observed from the tariff declared by broadcasters under new regulatory framework that they are offering bouquets at a discount of up to 70 per cent of the sum of a-la-carte rates of pay channels constituting those bouquets,” reads TRAI’s latest notification.

    “It indicates that in absence of any restriction on the discount on the offering of bouquets, broadcasters are making prices of a-la-carte channels illusory thereby impacting the a-la-carte choice of channels by consumers. Further, no restriction on number of channels has created another problem wherein broadcasters and DPOs are offering too many bouquets,” the note further states.

    TRAI has observed that too many bouquets are formed by the broadcasters/DPOs and many of them contain very similar set of channels, with very few changes. This, according to the sector regulator, is not only creating confusion among consumers but also becoming a hurdle in choosing the channels.

    With too many bouquets of broadcasters and DPOs, consumers get confused and as a result are forced to adopt some suggested packs of TV channels, killing the freedom given to consumers to choose desired TV channels, feels the sector regulator .

    TRAI had extensive interactions with  stakeholders including consumers and consumer organizations, at various forums, wherein stakeholders have also raised certain issues such as variable NCF for different regions, NCF for Multi TV home, discount on long term plan, DD channels as part of one hundred channels etc.

     In order to deliberate upon above issues that have come post implementation of the new regime, the latest consultation paper has been floated seeking stakeholders' views.

  • TRAI issues draft regulation to facilitate consumer choice of TV channels using API

    TRAI issues draft regulation to facilitate consumer choice of TV channels using API

    MUMBAI: The Telecom Regulatory Authority of India (TRAI) on Friday issued the draft (Second Amendment) to the Telecommunication (Broadcasting and Cable) Services Standards of Quality of Service and Consumer Protection (Addressable Systems) Regulations 2017. Through this draft regulation (second amendment), TRAI is seeking the comments of stakeholders on the issue of developing of app by third parties and consequent sharing of information using Application Program Interface (API) between DPOs and consumers.

    The new tariff order rolled out in the beginning of this year put power in consumers’ hand to select television channels they want to watch. To ensure proper implementation of the new framework, the authority has made a number of efforts such as series of meetings with DPOs, publicity in electronic and news media, interactions with customer groups etc. Despite all the efforts, it has been brought to notice of the authority that consumers are not able to make real choice of TV channels.

    “It was noticed that quite a few DPO platforms were not providing adequate freedom and choice to consumers. Customers also complained that the call centre of DPOs are also not helping to facilitate consumer choice of the channels,” TRAI said in a release.

    To resolve the issues, the authority felt need to have channel selection system developed by third party to facilitate easy channel selection by consumers. As per TRAI, since the third party app will be accessible by every customer of Broadcasting & Cables Services sector,  it will facilitate easy choice to consumers.

    To facilitate functioning of third-party apps, TRAI created channel selection system API specifications document which prescribed common APIs with all distribution platform operators (DPO). TRAI intends to mandate all the DPOs to compulsorily share information with the apps after authenticating the subscriber so that such apps can help in easy selection of the required TV channels.

    The newly issued draft regulation (second amendment) issued shall be open for comments of the stakeholders up to 22 August. 

  • TRAI hands DPOs, broadcasters 2 additional months to implement landing page directive

    TRAI hands DPOs, broadcasters 2 additional months to implement landing page directive

    MUMBAI: The Telecom Regulatory Authority of India (TRAI) has extended the deadline for implementation of landing page direction from 31 March to 31 May. As per a release from the authority, the move has been taken following a request from All India Digital Cable Federation (AIDCF).

    Back in last December, the regulatory body directed all broadcasters and distributors to restrain from placing any registered satellite television channel, whose TV rating is released by TV rating agency, on the landing LCN or landing channel or the boot-up screen.

    The reason behind this order, according to TRAI, was to protect the interest of service providers and consumers while ensuring “orderly growth of the sector”.

    TRAI received a representation from AIDCF requesting the authority to extend the implementation for a further period of two months. The latter made the request in view of the appeal against the direction pending TDSAT and its hearing and pronouncement of order may go beyond the 31 March deadline.

    AIDCF also pointed out that the matter being under judicial consideration, any action on the said direction will not only be prejudicial to their right and contentions but also against the principle of natural justice. As the regulatory body of the sector found merit in the request, the deadline has been pushed further.

    Landing channel or landing page or landing logical channel number (LCN) refers to the default LCN that is displayed whenever a STB is switched on. Any TV channel placed on this page is available to all STBs connected to the network of a distributor and is regarded as a prized real estate by DPOs.

    During a consultation process on the issue, many broadcasters had admitted that placing a TV channel on the landing page could influence the audience data or TV rating points (TRPs), while MSOs and other distributors had stated there were no such influence on ratings or if any, they were minimal.

  • BARC exhorts TRAI to strengthen existing TV audience measurement system

    BARC exhorts TRAI to strengthen existing TV audience measurement system

    MUMBAI: Broadcast Audience Research Council India (BARC), the country’s premier TV audience data measurer, has suggested to the Indian regulator Telecom Regulatory Authority of India (TRAI) that having more multiple measurement and ratings mechanisms may not be “advisable” and could create confusion. Instead, it was better to invest further in the existing currency with the goal to make it more robust.

    “Having more than one ratings service/currency would not be in the interests of industry, and, hence is not desirable. Instead of increasing number of ratings agencies, it would be advisable to invest in the existing system and make it even more robust and accurate,” BARC India has said in its submission to a consultation paper on TV audience measurement overhaul  floated by the TRAI.

    Making a case to further boost the functioning of BARC India, the organisation has said steps were needed to be taken to “increase the sample/panel through cost effective technologies” like sample return path data (SRPD).

    “TV viewership measurement systems across most mature markets are carried out by a single agency. The existence of more than one rating agencies (and currency) will create confusion and will lead to inefficiency in the market. When there are more than one data sets for a same set of channels, it leads to ambiguity,” BARC India has argued.

    TRAI had floated a consultation paper on ‘Review of Television Audience Measurement and Ratings in India’ on 3 December 2018 seeking feedback from stakeholders with a view to examine various aspects of the system, which is presently done by BARC India that is a joint venture amongst three industry organisations — the Indian Broadcasting Foundation (IBF), Advertising Agencies Association of India (AAAI) and the Indian Society of Advertisers (ISA). The original deadline for making submissions was extended on request from the stakeholders.

    Arguing against promoting more competition in the audience measurement eco-system, BARC India has cited international media reports relating to this particular issue in the Philippines.
    “Philippines presents a typical example of confusion and ambiguity in market due to presence of more than one measurement agency. TV measurement in the Philippines is conducted by Kantar Media Philippines and AGB Nielsen Media Research Philippines. Data produced by the two companies are often used by competing channels to claim leadership,” BARC India has argued.

    Pointing out that accuracy of data can be ensured through larger panel that can, inter alia, be sustained by industry, BARC India has tried to put things in context by highlighting the US TV industry sustains a panel of 108900 individuals with a TV adex of $68 billion, while in India BARC India “runs a panel of 135,000 individuals with adex of approximately $4 billion”.

    However, for a more robust system to be in place, which will also strengthen BARC India, the organisation has said “regulatory and government support” was essential and the support should involve “mandating digital platform operators (DTH and cable), as well as TV OEM manufacturers (of smart TV sets), to share return path data from samples to measurement provider”.

    “To make data more accurate, there are steps required that go beyond the remit and domain of BARC. Legal and punitive framework to weed out panel tampering will go a long way in building further acceptance of our data,” BARC India has stated, reiterating its position on been backed by some legal teeth to fight attempts of data infiltrations and manipulation.

    While admitting that a high-tech landscape like audience measurement needed to constantly evolve as newer consumption and distribution modes and technologies were emerging (for example, digital consumption, proliferation of OTT platforms, etc), BARC India has made it clear it was exploring SRPD, second generation metre with newer detection techniques, and other technological solutions for TV measurement.

    “BARC India has also made progress in building capability to measure digital consumption with the goal of providing industry with cross platform and cross device video consumption: linear and time shifted, broadcast and digital. We have a strong foundation, established credibility and necessary transparency and accountability framework on which we can build further with emerging and suitable technologies,” the measurement organisation stated.

  • DPOs have to pay broadcasters under new tariff order rules starting February

    DPOs have to pay broadcasters under new tariff order rules starting February

    New Delhi: The Telecom Regulatory Authority prof India (TRAI) notified The Telecommunications (Broadcasting & Cable) Services Interconnection (Addressable Systems) Regulations, 2017, The Telecommunication (Broadcasting and Cable) Services (Eighth) (Addressable Systems) Tariff Order, 2017  and the Telecommunication (Broadcasting and Cable) Services Standards of Quality of Service and Consumer Protection (Addressable Systems) Regulations, 2017 (collectively “New MRP Regime”) and directed all broadcasters and distribution platform operators (“DPOs”) to ensure compliance with the provisions of the New MRP Regime from February 01, 2019.

    Thereafter TRAI issued a letter dated February 04, 2019 to the Indian Broadcasting Foundation (IBF) TRAI categorically stating that all provisions of the New MRP Regime must be enforced from 1st  February, 2019  and directed IBF to inform its member broadcasters to ensure compliance with the New MRP Regime from February 01, 2019. IBF and its members have unequivocally affirmed their support for the smooth implementation of the New MRP Regime.

    By its latest Press Release No. 11/2019 dated 12th February, 2019, TRAI has acknowledged that 65% of cable services subscribers and 35% of DTH subscribers have already migrated to the new MRP Regime. However, since a switch off will cause inconvenience to subscribers, TRAI has extended time upto 31st March, 2019 to those subscribers who have not yet migrated to exercise their choice.  In view of this there may be some confusion amongst DPOs regarding the implementation of the New MRP Regime. Some of our member broadcasters have been receiving calls from some DPOs seeking clarification regarding submission of monthly subscriber reports (MSRs) and billing for the month of February 2019.

    IBF would like to clarify that its member broadcasters have executed the Reference Interconnect Agreements (RIOs) under the New MRP Regime with the DPOs and have implemented the New MRP Regime effective 1st February, 2019 as mandated by TRAI.  Thus all DPOs are statutorily bound to adhere to the provisions of the New MRP Regime.  Accordingly, DPOs are hereby requested to provide their MSRs as mandated under the New MRP Regime in respect of each of their subscribers on the duly notified dates viz., 7th, 14th, 21st and 28th of every month.   Kindly note that from the month of February 2019 onwards our member broadcasters will be raising invoices on DPOs in accordance with the provisions stipulated by TRAI under the New MRP Regime.

    This media release is being issued by IBF on behalf of its member broadcasters for the purpose of clarifying the position in regard to the foregoing.

  • Guest Column: The way forward for DPOs, broadcasters in the new TRAI tariff regime

    Guest Column: The way forward for DPOs, broadcasters in the new TRAI tariff regime

    During the early 2000s, cable television began to spread rapidly across India and the cable distribution business rapidly shifted from the early muddled phase towards a more corporate structure which put emphasis on the rationalisation of business practices, billing system transparency and technical know-how.

    The number of cable television subscribers in India grew from 4 lakh in the early nineties to more than 91 million by the end of 2009, the number of satellite television channels grew from a handful in 1992 to around 550 channels in 2010 and there was a significant increase in the number of distribution platform operators. However, the landscape of the cable industry completely transformed when the ordinance to digitise analogue cable systems was passed. The ordinance mandated the digitalisation and it got completed over a period of 6 years from 2011 to 2017 in four phases. Phase I covered the four metro cities of Delhi, Kolkata, Mumbai and Chennai, followed by 38 cities in phase II, all remaining urban areas and rest of India were covered in phase III and phase IV.

    The benefits of digitalisation for consumers as compared to analogue are multi-fold including refined quality of transmission, better sound clarity, and the choice to pay for select channels. Post digitalisation, we have witnessed significant consolidation/merger/closure of DPOs in the market with the number of distribution platforms reduced to 1200 from around 6000.

    The introduction of the New Tariff Order from 1 Feb 2019 focuses on “Consumer Choices” and will completely change the manner of channel selection, pricing and reach which is likely to disrupt existing revenue models of both broadcasters and DPOs.

    New regime and its impact

    Prior to the implementation of the new tariff order, the DPOs and the broadcasters were mostly operating on a fixed fee model. However, the new regime is likely to have a significant impact on the channel reach, channel share, ratings of non-driver channels and the overall revenue. The key to address these challenges for securing the correct revenue share amongst other things would entail consumer education, constant monitoring of consumer preferences and realignment of the bouquet packaging strategies taking into account consumer preferences.

    Under the new regime, consumers will have the option of paying only for channels they want to watch and can drop other channels from their list and hence, the subscriber base will now solely depend on the communication between the DPOs and the end consumer, and in the event of any communication gap, the last mile consumer will not subscribe to the channels and these may result in significant erosion of subscriber base impacting the revenue of DPOs and the broadcasters.

    Also, broadcasters and DPOs will have to upgrade or completely revamp their internal credit risk management and operating systems used for billing, settlements and disputes to capture complex and multiple combinations of channels that a consumer would choose from.

    Under the MRP regime, the revenues of MSO & broadcasters will be solely dependent on the subscriber numbers reported by LCO to MSO and IPTV, DTH and MSO to broadcasters. As subscriber reporting requirements have changed from reporting opening & closing of the month to opening & closing for all the weeks of the month, it requires significant system and process upgrades at DPOs’ end. Till such time, revenues of MSOs and Broadcasters remain in jeopardy. It would be imperative to closely monitor the situation from March 2019 onwards when DPOs are expected to submit their first subscriber report.

    Way forward

    The best solution for broadcasters and the DPOs to earn their fair share of revenues would be to continuously monitor the ground, track channel reach & availability and adapt to changing consumer preferences on a real-time basis. Such requirements can be effectively managed by mapping every DPOs headend catering to each and every last mile consumer, getting complete ground information on packages and channels being offered to consumers through field surveys and regular transport stream (TS) recording cum analysis at consumer points which will help to determine the placement of the channels and their encryption status !

    *DPOs include IPTV, DTH, MSO and LCOs.

    (The author is managing director in Risk Assurance Practice of PwC, India. The views expressed here are his own and Indiantelevision.com may not subscribe to them) 

  • TRAI says 40% consumers have exercised their options under new tariff order

    TRAI says 40% consumers have exercised their options under new tariff order

    MUMBAI: With just a week for the new tariff order to kick in, the Telecom Regulatory Authority of India (TRAI) on Thursday revealed that nearly 40 per cent of the consumers have already exercised their options under the new regulatory framework.

    The regulator also expressed its satisfaction over the progress made by all stakeholders in order to adapt to the new norms.

    In the last month, TRAI has conducted frequent meetings with DPOs and broadcasters to oversee all implementation plans. The regulator has noted that all service providers have offered a consumer care channel on TV Channel Number 999, consumer corner on their website, started a Call Centre, released mobile apps and updated EPG displaying the MRP of each channel.

    The stakeholders have also made arrangements to receive options of subscribers using various methods.

    TRAI on its part has carried out an extensive consumer awareness program. The regulator has been proactively educating consumers through various means like social media and SMS. 

    It has also launched a web portal to help consumers to select the channels of their choice and estimate their monthly bill.  A facility has also been provided to take a print out of the  TV Channels selected or download the file so that the same can be sent to the TV service provider to facilitate exercising of the subscriber option.

    However, the regulator in its latest press note singled out one DTH for non-cooperation.

    “Authority has been receiving hundreds of complaints intimating that one of the  DTH (Direct to  home)   service provider is  not  providing options to its   subscribers  to    exercise   their   choices   and   providing   misleading information in  regard to  implementation of  new  framework. The Authority has taken up the matter. The said DTH operator has assured in writing that they will be complying with the new regulatory framework and will make the options available for obtaining the consumers choice. The  Authority assures all  the  subscribers that all  efforts are  being made to ensure that there is no inconvenience or  any  disruption of TV services due to  the   migration to  the new  regulatory regime,” it said.

     TRAI’s note also went on to add that Multi Systems Operators (MSOs) in far-flung areas and smaller towns are yet to implement the new regulatory framework in letter and spirit.

    Despite the strides made by all parties involved, the regulator has yet again directed all broadcasters and DPOs to comply with the new regulatory framework.

  • DPOs say TRAI tariff order lacks value without 15% bouquet discount cap

    DPOs say TRAI tariff order lacks value without 15% bouquet discount cap

    MUMBAI: With TRAI’s petition seeking clarity on the 15 per cent bouquet discount cap being dismissed as withdrawn in the Supreme Court, distribution platform operators (DPOs) are of the opinion that the entire value chain is now bound to function like it did before the new tariff order came into existence.

    Last month, the regulator had filed a petition in the top court on the issue of 15 per cent cap on discount on a bouquet price of TV channels to consumers that had been set aside by Madras High Court while upholding TRAI’s right to regulate the broadcast sector.

    Highlighting the delay, the Supreme Court was of the opinion that the TRAI should have sought clarification on the clause while arguments were being presented in the matter last year.

    With the court’s latest act, CEO of the Chandigarh-headquartered MSO Fastway Peeush Mahajan believes that the DPOs will not be in a position to package their product, thereby being reduced to just passing on to consumers the offerings broadcasters have prepared.

    “Basically what I’m seeing is, we are back to stage one. 15 per cent clause, as per me, is the gist of the entire tariff order. With 15 per cent gone, there will now be predatory pricing. Broadcasters will keep the rates higher for a-la-carte channels and give a discount of 50-60 per cent on the bouquets,” Mahajan told Indiantelevision.com.

    Maharashtra Cable Operators’ Federation (MCoF) committee member Asif Syed concurs with Mahajan. According to him, the 15 per cent clause was in the interest of consumers as well as the MSOs.

    “If the capping is not allowed now, the problem would be MSOs won't be able to bundle all the packages. If someone wants to watch a Marathi GEC, right now there is no option wherein you can get Star Pravah and Zee Marathi in the same package. MSOs could have done that had there been a 15 per cent cap. We won't market the pay channels. Since we are not getting a good share why should we help the broadcasters? Let them advertise, let them do the hard work. There would be resistance from our side,” Syed further added.

    The DPOs point out that the problem with the pre tariff order period was that the a-la-carte pricing was very high and bouquet pricing was extremely low. In a sense, that’s the direction the industry will now be headed in.

    “As on today, we basically have an LCO and subscriber contact programme where we are reaching to the LCOs and they are further reaching the subscribers. Now there is a big resistance from the cable operators, so let’s see how this will shape up. We are trying to convince the cable operators that we have to implement the order but the actual number of consumers registered by the LCOs is unknown,” Mahajan stated.

    While the regulator failed to get a written assurance on whether the court would entertain similar pleas in the future, there’s little doubt of it seeking further amendments to the order going forward.

    “To my understanding, TRAI has withdrawn the petition. In my belief, TRAI will definitely take steps to bring about whatever amendments are required in the tariff order so that it meets the objectives. In the meanwhile, it would be better if broadcasters review their negative approach and make it friendly to consumers as well as DPOs,” Kerala Communicators Cable Limited (KCCL) CEO Shaji Mathews highlighted.

    A section of the DPOs believes that broadcasters have acted, by adopting an unrealistic pricing model, against the spirit of the TRAI order. This, they feel, has been done in order to pressurise TRAI as well as DPOs. The regulator’s objective was to ensure that rates are realistic. Broadcasters not adhering to realistic pricing models amounts to deliberately defeating the purpose of the tariff order, says an MSO CEO who did not wish to be quoted.

    The TRAI is now set to meet major MSOs and broadcasters to discuss the implementation of the tariff order on 4 January. That is when there will be further clarity on what lies ahead for the entire content distribution value chain.

  • Hathway, DEN, Siti reveal packs under new TRAI tariff order

    Hathway, DEN, Siti reveal packs under new TRAI tariff order

    MUMBAI: Major DTH players and MSOs have started updating new channel and package pricing as per the new TRAI tariff order. Soon after major broadcasters announced new rates, DPOs are taking swift action making it easier for consumers to choose their desired channels. Last month, TRAI gave an additional one month for the implementation of the new regime to make the transition of consumers smoother.

    Essel group promoted Siti Networks has revealed five suggestive packs ranging from Rs 52.5 to Rs 166 excluding GST. The number of channels also varies in the suggestive packs. While the first one has 18 channels, the highest number of channels i.e 49, is available on the fifth pay pack. 

    Another national MSO Den Networks has revealed over 10 suggestive packs leaving more options from consumers. The prices of the packages range from Rs 199 to Rs 500 inclusive of taxes. DEN Intro Pack priced Rs 199 mostly comprises free to air (FTA) channels barring a few pay channels in the news and infotainment space while DEN Titanium Pack priced at Rs 500 offers a large number of channels across genres.

    Leading MSO Hathway Cable and Datacom has also updated several new packs including the base pack containing 100 FTA channels along with regional add-ons and genre add-ons. Moreover, Hathway has created different packages for different markets like Maharashtra, Karnataka, West Bengal, Telangana, Tamil Nadu and Hindi speaking markets.  Both the Prime and Royal packs offered by the operator include major channels from all the genres while the Royal packs leave much more option. 

    Two DTH players i.e., Dish TV and Airtel Digital TV, have published the prices of individual channels. However, along with segregating the available channels on its network on the basis of genres, Dish TV has highlighted different packs from broadcasters in another list. Airtel Digital TV has only provided the pricing of the individual channels on its website. The DTH operator is offering no discount on the price which is offered by the broadcasters and just passing on the channels by adding tax to the same pricing.